Arizona Gov. Janet Napolitano has been named secretary of homeland security, Eric Holder as attorney general, and Susan Rice as United Nations ambassador.

"In this uncertain world, the time has come for a new beginning - a new dawn of American leadership to overcome the challenges of the 21st century, and to seize the opportunities embedded in those challenges," Obama said.

"To succeed, we must pursue a new strategy that skillfully uses, balances, and integrates all elements of American power: our military and diplomacy; our intelligence and law enforcement; our economy and the power of our moral example. The team that we have assembled here today is uniquely suited to do just that. They share my pragmatism about the use of power, and my sense of purpose about America's role as a leader in the world."

Bill Clinton will be absent when his wife is formally nominated as Secretary of State.

(CNN) - Former President Bill Clinton won’t be on hand this morning when President-elect Barack Obama officially nominates Sen. Hillary Clinton as Secretary of State, according to sources familiar with the transition.

Obama will unveil the full team at a press conference at the Chicago Hilton at 10:40 a.m. ET

Obama is also expected to finally confirm that he is keeping Defense Secretary Robert Gates in his current post, and plans to name retired Marine Gen. Jim Jones as his National Security Adviser at the White House.

Also, two sources close to the transition said Obama will nominate Susan Rice as United Nations ambassador, Arizona Gov. Janet Napolitano as Homeland Security secretary and Eric Holder as Attorney General.

Some unfinished business from the primary season is heading toward a resolution as the former rivals take the stage this morning: Hillary Clinton has been assured by the Obama team that they will help her fundraise in the next 60 days to help clear her remaining campaign debt of roughly $6.5 million.

The status of another open question with roots in the contentious Democratic primary contest remains unresolved: the future status of Samatha Power. The Obama advisor who had to resign after calling Hillary Clinton "a monster" is currently on the transition team's "agency review team" for the State Department. She has apologized twice to Clinton, according to two Democratic sources, who say Clinton accepted the apology. But it is still unclear whether Power will have a job at the State Department with Clinton in charge.

Update: Bill Clinton praised his wife's nomination Monday. "As an American, I am thankful that President-elect Barack Obama has asked Hillary to be Secretary of State and that she has accepted. As her husband, I am deeply proud," the former president said in a statement.

"She is the right person for the job of helping to restore America's image abroad, end the war in Iraq, advance peace and increase our security, by building a future for our children with more partners and fewer adversaries, one of shared responsibilities and opportunities.

(CNN) - As speculation continues to swirl about a possible Pennsylvania senate bid by MSNBC anchor Chris Matthews, Republican Sen. Arlen Specter said on Sunday that he’s not worried about it.

“I’m going to have an opponent, in fact I’m going to have two opponents - one in the primary, where I always have a tough race, and again in the general,” Specter told CNN’s Wolf Blitzer on "Late Edition." “I never look over my shoulder, I never look behind. Somebody may be gaining on me. I run with blinders. I’ll be prepared no matter who my opponents are.”

The Patriot-News of Harrisburg reported on Saturday that Matthews met with Pennsylvania Democratic Party leaders to discuss a possible senate run in 2010 against the incumbent Specter. The senior Republican is currently serving his 5th term, having first been elected in 1980.

Matthews, in a statement on the political Web site FiveThirtyEight.com, said reports of him staffing up for a run are "absolutely not true."

Specter said he’s only concerned with his own bid for re-election in 2010.

(CNN) - Alaska Gov. Sarah Palin takes on the closer role today, teaming up with incumbent Sen. Saxby Chambliss at four campaign events in Georgia on the last full day of campaigning before tomorrow's Senate runoff election in the state.

The former Republican vice presidential candidate joined Chambliss at a pair of fundraisers last night. She adds her name to the list of big-name surrogates who have made campaign cameos in the year’s final remaining Senate contest.

Sen. John McCain returned to the trail to campaign with Chambliss just nine days after losing the presidential election to Obama. So have some of his Republican primary rivals, like former Arkansas Gov. Mike Huckabee, former Massachusetts Gov. Mitt Romney, and former New York City Mayor Rudy Giuliani — all likely 2012 candidates for the GOP presidential nomination, along with Palin.

CNN: Palin back on the campaign trail
Alaska Gov. Sarah Palin is adding her name to the list of big-name surrogates who are making campaign cameos in the last remaining Senate election this year.

CNN: Specter 'prepared' to take on TV anchor
As speculation continues to swirl about a possible Pennsylvania senate bid by MSNBC anchor Chris Matthews, Republican Sen. Arlen Specter said on Sunday that he’s not worried about it.

CNN: Obama inauguration could take on subdued tone
Millions of people are expected to go to Washington to celebrate Barack Obama's inauguration on January 20, but with a troubled economy and pocketbook issues on the mind, the president-elect must be careful to set the right tone.